Question to the HM Treasury:

To ask the Chancellor of the Exchequer, whether the Government is considering proposals to replace Vehicle Excise Duty with a pay-per-mile road pricing system.

The Government has no plans to abolish Vehicle Excise Duty (VED). VED applies to vehicles used or kept on public roads, which does not vary by miles driven. However, fuel duty applies to the petrol or diesel used by motorists driving internal combustion engine vehicles; the greater the miles driven, the more fuel duty incurred.